More than 500 local jobs were created or saved via federal stimulus money during first-quarter 2010, but that’s just a drop in the bucket considering nearly 26,400 people in the area lost their jobs during that time period.

Orlando had an 11.1 percent unemployment rate in May — more than 124,400 jobless people — up from 10 percent unemployment, or more than 111,400 without jobs, in May 2009.

Statewide, nearly 38,500 jobs were created or saved using stimulus money in first-quarter 2010, while at the same time, 52,000 Floridians lost their jobs. The state reported an 11.2 percent unemployment rate in May, or 1.08 million jobless people, up from 10 percent unemployment, or 940,000 jobless people, a year ago.

In other words, the $787 billion federal stimulus package is failing to stem the tide in the number of jobless people, with double-digit unemployment rates continuing to grow throughout the Sunshine State.

However, a slight recovery may be in progress. Orlando unemployment claims for the first quarter dropped 28 percent when compared to 36,748 claims filed for the same period last year.

Moreover, the jobs created or saved by federal stimulus money shouldn’t be downplayed, even though the numbers are small compared to the number of people out of work, said Don Winstead, special stimulus adviser to Florida Gov. Charlie Crist. “Right now, jobs are jobs, and a job saved is just as important as a job created in this economy,” he said.

In addition, stimulus money has created or saved up to 153,000 jobs in Florida since the federal program began in February 2009, said the governor’s Council of Economic Advisors. That figure includes direct stimulus recipients and indirect recipients, such as subcontractors or other companies that may work with the primary stimulus fund recipient.

Meanwhile, Gary J. Earl, president and CEO of Workforce Central Florida, the metro region’s work force agency, believes the economy has hit bottom and is ready to begin the slow climb back to stability. “There’s no doubt [the stimulus money] is helpful in maintaining the job market at or above certain levels,” he said. “But it’s too early to declare victory just yet.”

Still, there are signs of improvement on the horizon, said Brenda Kuczynski, area manager at Longwood-based Pro Image Solutions staffing agency. “We’re experiencing more calls, and that’s an early sign of future hiring activity,” she said.

Harold Mills, CEO of ZeroChaos, an Orlando-based staffing, payroll and work force agency, agreed, saying his firm is seeing an increase in temporary hires who have the opportunity to become permanent employees — an early sign of hires to come. “Historically, contingent hiring leads permanent hiring.”

Rollins College economist Bill Seyfried is less optimistic. To be sure, the stimulus money allowed the state and local governments to avoid some layoffs, he said. But if Central Florida’s recovery from the recession “is modest, at best, then expect some of those jobs to be in jeopardy again.”

Industries:

Comments

If you are commenting using a Facebook account, your profile information may be displayed with your comment depending on your privacy settings. By leaving the 'Post to Facebook' box selected, your comment will be published to your Facebook profile in addition to the space below.